A Deep Dive Into Modern

Consumer Purchasing
Trends in E-Commerce
Based on a Survey of 2,000+ U.S. Shoppers
 2

Despite Caution, E-Commerce Prevails

In a world marked by unprecedented economic
challenges, consumers find themselves navigating a
landscape profoundly transformed by a convergence
of factors influencing their purchasing decisions.
Purchasing decisions are currently
defined by three critical elements:
Additionally, consumers are exploring new shopping
destinations, seeking alternatives to established
stores as they strive to make every dollar count.
In a time when convenience and affordability are
of paramount importance, e-commerce remains a
vital lifeline for consumers across a wide range of
budgets.

1 Escalating Costs
2 Less Disposable Income
3 Perceptions of Value
Inflation, now at its highest rates in four decades, has
cast a long shadow over consumers’ daily lives. While
it has shown signs of stabilizing, hovering around 3%,
its lingering effects continue to reverberate through
the purchasing power of individuals and families.1
Rising prices for essential goods and services, from
groceries to housing, have compelled consumers
to adapt, reevaluate budgets, and strategize their
spending in the face of financial headwinds.
The supply chain, a vital artery of global commerce,
is still in the process of convalescing from escalating
raw material costs and global and geopolitical
tensions. Compounding this challenge, a tight
labor market and surging fuel costs have further
strained the supply chains, affecting the availability
and pricing of goods. As consumers grapple with
disruptions, businesses are navigating a complex
web of logistical hurdles, leading to shifts in the
retail landscape.
Feedvisor continues to monitor the trends
shaping e-commerce in the sixth installation
of The 2023 E-Commerce Consumer
Behavior Report. Providing an in-depth view
into the minds and wallets of over 2,000 U.S.
consumers, this report uncovers the dynamic
shifts in consumer shopping behaviors
within this altered e-commerce landscape.
From the adoption of new technologies to
evolving preferences and priorities, this
report illuminates the insights brands and
merchants need to recognize to navigate this
challenging economic terrain.
Dani Nadel
President and
Chief Operating Officer,
Feedvisor

Consumers are resorting to various coping

mechanisms in this delicate economic balance.
Budgets are being scrutinized with unprecedented
precision, non-essential purchases are becoming
increasingly selective, and the hunt for deals and
discounts has become a way of life.

1
US Inflation Rate Charts 2023

Key Takeaways
With inflation still worrying consumers, deals
and discounts are now the deciding factors for
where they make a purchase.
39% of consumers say they
are buying where discounts
and deals are prevalent
44% say deals and
discounts are their biggest
motivator for purchasing
In an effort to get stay within budget, 36% of
consumers said they are conducting research
online before buying products, particularly
when it comes to discretionary purchases
60% of consumers start their
research on Amazon, with 19%
starting on Google and 11%
on Walmart
Interactive ads are the way to capture
consumer attention with 69% of consumers
engaging with video ads
Likewise, TV and
streaming ads are gaining
traction with 40% and
27% of consumers
noticing them more
This holiday season, sales will be driven by
price promotions, coupons, and deals, with
almost half (49%) of consumers saying price
promotions influence their holiday purchases
43% of consumers say coupons
and deals influence their holiday
gift purchases
To optimize your end-to-end ecommerce strategy,
get in touch with us at feedvisor.com/connect
3
Online grocery purchases are on the rise, with
35% of consumers saying they are buying
groceries more this year than ever
This is most common among
Millennials and Gen X
Despite having to cut budgets, consumers still
prefer brands (24%) over private labels (13%)
while a majority seek both (54%)
This is most prevalent in the
following categories:
Beauty & Personal Care
Cell Phones
Electronics
Pet Supplies
64% of consumers say price is
the most significant factor when
deciding to purchase private
label over a brand
Holiday shopping began in July with
12% of shoppers using Prime Day
to kick off their holiday lists
23% of consumers plan to start shopping
in September with 27% planning on
spending the bulk of their budgets
in November
Consumers are still holding out for big
purchases on Black Friday, with 52%
planning on making a purchase
38% of consumers say Black
Friday has the best deals,
followed by Prime Day (17%)
and Cyber Monday (14%)
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Table of Contents

NOTABLE SHIFTS IN CONSUMER 5

PURCHASING BEHAVIOR

GRABBING CONSUMER’S ATTENTION: 20

WHAT ADS RESONATE?

UNWRAPPING HOLIDAY SHOPPING TRENDS 25

LOOKING AHEAD 33

This poll was commissioned and analyzed by Feedvisor. It was distributed online
from July 14–20, 2023, among a sample of 2,014 U.S. adults who have purchased
a product on Amazon within the last 6 months. Results from the full survey have
a margin of error of plus or minus 2.2 percentage points. All numbers have been
rounded to the nearest percent. Zogby Analytics conducted the survey on behalf
of Feedvisor.

The respondent pool encompassed all age ranges and income levels as well as
Prime and non-Prime members to provide a true snapshot of what the overall
market wants from retail experiences.
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 5

Notable Shifts
in Consumer
Purchasing Behavior

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Notable Shifts in Consumer

Purchasing Behavior
Spending Has Increased, But
Patterns Are Altered
Consumer spending has increased as inflation
continues to mire the economy, with 36% expecting
to spend more on products they currently buy in the
next 6-12 months, showing a reluctant acceptance
of the new economic reality.
As of August, the pace of inflation has stabilized from
its peak of 9.1% to 3.7% giving consumers somewhat
of a break1, but the cooling does not tell the full story
of exactly how much consumers are truly spending.
65%
of respondents expect prices to
persistently rise in next 6-12 months
Price hikes have been incredibly common, with 40%
of consumers noticing an increase in the past year,
something that is not likely to change. While wages
remain relatively the same, consumers now grapple
with the evolving economic landscape, and their
spending behavior reflects a cautious response to
inflation and escalating prices.

Prices in general are now 13% higher than they were Categories Consumers Are Scaling Back On
two years ago, with some costs such as groceries,
utilities, and gas, rising by 20%. Clothing, Shoes
& Jewelry 29%

Electronics 26%
30% Beauty &
Personal Care 23%
Cell Phones &
20 Accessories 22%
13% Home &
Kitchen 19%
10
12% Movies &
19%
TV shows

0 Grocery &
Gourmet Food 17%
Apr Jul Oct Jan Apr Jul Oct Jan
2021 2022 2023
Games 17%
All Items Less Food & Energy
Sports & 17%
Outdoors
Chart: Gabriel Cortes / CNBC
Source: CNBC analysis of the U.S. Bureau of Labor Statistics’ seasonally Books 16%
adjusted consumer price index
Data last updated April 12, 2023
Automotive Parts
& Accessories 16%

Pet Supplies 12%

Baby 12%
1
YCharts 2023
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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 8

As consumers continue to move away from A majority (68%) of consumers now choose Amazon
discretionary spending and re-evaluate their as their primary online shopping destination, while
budgets, essential items like groceries remain in 12% opt for Walmart and 3% for Target. Surprisingly,
the mix. This trend not only highlights the growing only 7% of consumers are turning to search engines
significance of household necessities, but also to make their purchases, and just 1% intentionally
reflects the prudent financial decisions individuals buy through social media platforms.
and families are making as they adapt to evolving
economic circumstances. What is particularly striking is the evolving
distribution of spending: lower spending patterns
The choice of where they make those purchases are emerging on social media and retailers’
has also become a critical factor, with many favoring websites, those in the $0-$50 range, while higher
retailers known for their competitive or lower prices dollar amounts ($50+) are gravitating towards
as they strive to make their dollars stretch. online marketplaces like Amazon. This shift can
be attributed to the unmatched convenience,
Where Consumers Purchase product variety, and often competitive pricing that
marketplaces offer, making them the go-to choice
2022 2023
for today’s discerning shoppers.
Amazon 66% 68%
How Much Consumers Are Spending
Walmart 14% 12%
Target 3% 3%
eBay 2% 2% Amazon
19% 72% 8%

Brand website 4% 3%
33% 58% 8%
Search engine 8% 7% Walmart

Social media 1% 1% 58% 38% 3%

Target

74% 23% 3%
eBay

65% 18% 3%
Retailer
website

76% 22% 3%
Search
engine

80% 18% 2%
Social media

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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 9

Discounts Now Determine Despite online purchasing being seemingly cheaper,

consumers have noticed price increases in each
Shopping Destinations category and marketplace.

44% Top 5 Categories Where Prices Have Increased

of shoppers say they will buy sale items 2022 2023

over regularly priced items
Grocery & Gourmet Food 51% 70%

With consumer priorities shifting, shoppers

Clothing, Shoes & Jewelry 53% 62%
have become increasingly reluctant to purchase Beauty & Personal Care 55% 62%
nonessential goods like shoes and appliances.
Consequently, retailers are now relying heavily on Home & Kitchen 43% 48%
sales and deals to entice consumers to pry open
their wallets. Consumers are responding well to it, Electronics 44% 47%
with 39% saying they buy more where they can find
discounts and deals.

Retailers are leveraging additional promotional

events to address the challenges they have been
facing, especially stores catering to low- and middle-
income consumers where inflation has hit the
hardest.

68%
of consumers say prices have gone up

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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 10

Top Marketplaces Consumers Saw Price Top 5 Reasons Consumers Shop Online
Increases

30%
Amazon 83% Lower
prices
29%
Walmart 71%
22%
Target 46% Convenience
21%
Retailer website (like bestbuy.com) 31%
11%
Brand website (like nike.com) 28% Free
shipping
14%

Most of these price adjustments are attributed to

8%
increased operational costs as online marketplaces Product
grapple with the challenges of staying profitable availability
7%
amidst rising inflation and fuel surcharges. Yet,
despite these price fluctuations, the primary
motivator driving consumers to shop online remains
Good 7%
the allure of lower prices, as indicated by 29% of
customer
respondents. service 7%

2022 2023

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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 11

Consumers Are Researching Sites Consumers Search Most During

Buyer Journey
Products More

36%
of consumers now emphasize the
Start
importance of conducting research Search 60% 19% 11%
before purchasing
Check
Prices 76% 31% 45%
Consumers are becoming increasingly discerning
Check
and meticulous when it comes to their purchasing
decisions. More than a third of consumers
Reviews 76% 26% 38%
now emphasize the importance of conducting
comprehensive research before making a purchase.
Besides saving money, they are seeking quality When it comes to checking prices, Amazon maintains
products and wanting to align with and understand its dominance, with 76% of consumers turning to
a brand’s ethical practices. the platform for price comparisons. Walmart holds
the second spot, with 45% of consumers checking
prices on its website, followed by Google at 31%.
Amazon has become a budget-friendly hotspot as
More people (60%) choose Amazon over any more consumers use the platform to check prices
other search engine to begin their product and create alerts for prices within their comfort level.
search.

Similarly, consumers prioritize product

Amazon has emerged as the research hub of
choice for a majority of shoppers, with a staggering
60% initiating their product investigations on the
e-commerce giant’s platform. This is up slightly
from last year, when 56% of consumers started their
search here.
Google follows with 19% of consumers using it as
their starting point, while Walmart commands an 11%
share in the research landscape. Both are down from
previous years, which in Google’s case may be from
its announcement that it would be discontinuing its’
shopping marketplace as it failed to gain the traction
needed to sustain a marketplace.1 This may play a
role in the steady decline of searches, as less product
information can be found.
reviews in their decision-making process,
with Amazon leading the way once again,
as 76% of shoppers seek
product reviews on the
platform. Walmart garners the
attention of 38% of consumers
for reviews, while Google
registers at 26%.
As the economic landscape continues to evolve,
online research will play a pivotal role, particularly
on Amazon, as product reviews, pricing, high-quality
images, and detailed product pages become more
important.

1
Marketplace Pulse 2023
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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 12

Brands Are Still Preferred, But 64%

Preference is Diminishing of consumers said price is the most
important factor in whether they choose
Affordability takes center stage in consumer brand vs. private label products
decision-making, tipping the scales in favor of
private labels.
Tightening wallets and threats of recession have
consumers continuing to check prices before
shelling out their hard-earned money. Consumers
Despite a challenging economic climate where
are still spending, but 80% are trading down, or
budget considerations are paramount, consumer
opting for less expensive products that provide
preferences continue to lean toward branded
the same features or use.1 This could be why
products, with 24% expressing a clear preference
product appearance and listing quality are gaining
for brands over private labels, while 13% favor private
prominence, with 56% of consumers now placing
labels exclusively.
importance on how a product looks, suggesting a
shift in consumer priorities towards aesthetics and
This preference for brands over private labels is
perceived quality.
particularly pronounced in categories such as
Beauty and Personal Care, Cell Phones, Electronics,
Factors for Choosing Private Label Products
and Pet Supplies, where established brand names
hold sway.

Private Labels vs. Brands Category Preferences Price

Product Appearance

Listing Quality
Private
Brands Both Labels Positive Product Reviews
24% 54% 13% Low Shipping Cost

Furthermore, the willingness to opt for private

label products has been on the rise, with 64% of
consumers open to choosing them if guaranteed
However, brand loyalty is weakening, as a majority of
fast shipping, and 70% if free shipping is offered. In
consumers, at 54% now opt for a balanced approach,
this landscape, Amazon’s private label products find
seeking both brands and private labels in their
a place in the market, as 59% of consumers have
shopping endeavors.
embraced them in their shopping choices.
Inflation is partly to blame; as the cost of living rises,
Brands need to play by different rules in this
purchasing solely brand-name products can become
evolving environment by employing distinct
financially burdensome as consumers attempt to
strategies involving content, pricing, and advertising
maintain their lifestyles.
to effectively connect with and captive today’s
consumers.

1
Retail Dive 2023
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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 13

Online Purchasing Rises, With online purchasing, consumers can avoid

waiting in lines, access an almost infinite product
Especially for Groceries selection, and save money on gas by eliminating the
need to drive to and from the store. Since hybrid

36% shopping models like buy online, pick up in store

of consumers now shop daily to at least
a few times a week online, up 6% from
last year
As inflation-induced prices increase, consumers
are frequently shopping online to prevent paying for
those increases. Online prices in many categories
are declining overall, falling almost 2% in July when
compared to year-over-year.1 This makes online
items an attractive option for consumers looking to
save, even if it is cents vs. dollars.
(BOPIS) have emerged, consumers can seek the best
of both worlds—online convenience and occasional
in-store experiences.
This is especially true for grocery sales, as online
purchases have risen 10% since 2022. Consumers
purchase perishable items weekly, and with the costs
of groceries rising 6.3% YoY in July, finding ways to
save while still fulfilling your list your shopping list
has become a top priority.
Online grocery purchases have seen a significant
uptick, with a 10% increase since 2022.

The Top 3 Category Purchases for

Consumers in 2023 are:

1 Groceries

2 Clothing, Shoes, & Jewelry

3 Beauty & Personal Care

Current U.S. e-commerce sales have reached

$549.4 billion2 as of Q2 and are expected to reach
$1.137 trillion, growing by 9.3% by the end of this
year. Although this growth rate may appear slower
compared to the rapid expansion witnessed over
the past three years, it aligns perfectly with the
projections that were in place before the disruptive
events of 2020.3

1
Adobe Analytics 2023
2
U.S. Census Bureau 2023
3
Insider Intelligence 2023
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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 14

Top Online Purchasing Categories Y-o-Y This is most common among Millennials aged
33 - 40, and Gen X aged 41-49. Drawn to the
convenience, flexibility, and pricing transparency,
Clothing,
Shoes & Jewelry 53% 51% these generations are also more comfortable with
digital purchasing and rely on subscription offers
Beauty & 44% 49%
Personal Care to ensure their pantries are stocked.
Grocery & 33% 43%
Gourmet Food Since the average four-person household spends
Home & around $309 a week on groceries2, this is a
Kitchen 32% 30%
significant portion of these generations monthly
budget, highlighting the importance of effective
Pet Supplies 24% 27%
meal planning and budgeting to ensure financial
26% 20%
stability and healthy eating habits.
Electronics

Cell Phones &

Accessories 19% 16%

Books 14% 12%

Sports &
Outdoors 12% 11%

Movies &
TV shows 12% 10%

Games 9% 10%

Baby 9% 8%

Automotive Parts &

Accessories 7% 8%

2022 2023

35% of consumers say they are

purchasing groceries more this
year than last.

Looking to upgrade your full-funnel approach?

Get in touch with us at feedvisor.com/connect
© F E E DV I S O R
NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 15

62% Top 10 Impulse Buy Categories

of consumers prefer mobile purchases, Clothing, Shoes & Jewelry 39%

leading to impulse buying
Beauty & Personal Care 33%
Grocery & Gourmet Food 32%
Since the average person checks their phone a total
of 352 times per day, it is easy to see how impulse Home & Kitchen 16%
buying can be linked to app purchasing.1
Cell Phones & Accessories 16%
Electronics 14%
Impulse buying or spontaneous Pet Supplies 14%
purchasing is influenced by
three factors:2 Games 13%

1 Emotions
Movies & TV shows 13%
Books 11%
2 Marketing tactics

3 Immediate gratification Nearly half (44%) of consumers prefer to purchase

The average consumer now purchases $151 in
impulse buys a month, a number that was much
higher before inflation.3
through Amazon’s mobile app over sitting down
and purchasing through a desktop, while a majority
of those who shop at Walmart (38%) also prefer
Walmart’s mobile app over in-store and desktop
purchasing.

Impulse buys are closely linked to “luxury” items

rather than necessities, with the top three categories
for such purchases being Clothing, Shoes, and
Jewelry, followed closely by beauty and personal
care, and groceries.
Furthermore, a resounding 58% of
consumers prefer to conduct product
research through their mobile devices,
reaffirming the undeniable ascendancy
of app-based shopping in the modern
consumer landscape.

However, desktop usage is still

strong with older generations,
especially those in the Silent
Generation.

1
Peak Behavioral Health 2023
2
Freedom to Ascend 2023
3
Chain Store Age 2023
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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 16

App Purchases Now Dominant

38%
of consumers prefer to make a
purchase through an app than any
other purchase method

In an effort to stick to budgets and an increased

comfortability with innovative purchasing
technologies, consumers are now preferring app
purchasing over in-store and retailer websites. With Not to mention, app purchases often offer affordable
options like 360-degree product views that allow payment structures like Buy Now, Pay Later (BNPL),
them to inspect items from every angle, the ability which has further accentuated the convenience and
to virtually try on products, and even make in-game simplicity of app purchasing.
purchases, consumers have no reason to leave the
comforts of their couches to make a purchase. Still, consumers tend to purchase some categories
through apps over others:
App use has been on the rise, especially among
younger generations with Gen Z and Millennials The Top 3 Categories Purchased Through Apps
adopting app purchasing more frequently.

App Usage Across Demographics

In-App Online In-Store

Millennial 52%
Movies & Sports & Grocery &
Gen Z 47% TV shows Outdoors Gourmet Food

40% 36% 62%

Gen X 39%
Games Electronics Baby
Boomer 20% 36% 34% 54%
Books Cell Phones & Automotive Parts
Silent Generation 17% Accessories & Accessories
31%
32% 53%

Looking to upgrade your full-funnel approach?

Get in touch with us at feedvisor.com/connect
© F E E DV I S O R
NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 17

Social Commerce is Losing its
Luster, but TikTok is the One
to Watch
Social commerce, once hailed as the future of
online shopping, is showing signs of losing its shine.
Predicted to reach a staggering $79.64 billion in sales
on social platforms by 2025, the growth trajectory is
encountering some bumps along the way.1 While the
overall amount purchased through social commerce
is still on the rise, the pace of growth is slowing,
sounding alarms for industry observers.
In 2023, only 28% of consumers reported
making a purchase directly from a social
media platform, a notable decline from the 41%
recorded in 2022.
Among the social giants, Facebook retains its
top spot as the most popular platform for making
purchases, followed closely by Instagram at 48% and
newcomer, TikTok at 34%.
In the span of just one year, purchases through
TikTok have skyrocketed, rising 79%. This is most
likely due to their new feature, TikTok Shop, which
they quietly tested for months before officially
launching in the U.S. in September 2023.
Consumers can now purchase directly from the app
rather than leaving to follow a link.
With a user base that now exceeds 1 billion
worldwide and 210 million users in the U.S. alone,
TikTok’s widespread appeal makes it a fertile ground
for brands to engage with a diverse audience.2
TikTok purchases are on the rise, with the rollout
of its latest feature: TikTok Shopping. Consumers
can now purchase directly from the app rather than
following a link elsewhere.

Social Platforms Consumers Purchase Through Not everyone is happy about this latest addition,
particularly Amazon, as TikTok discusses whether
or not to place a ban on Amazon links.3 Time will tell
80%
if this ban becomes true, while ByteDance, TikTok’s
73%
creator, continues to experiment with new ways to
enter the social commerce field, and gain a larger
45% slice of the U.S. commerce pie.

47% Social Media Purchases YoY By Demographic

19% 55%
53%

34%
44%
42%
19% 36%
33%
19%
26%
23%
17%
12%
16% 10%

2022 2023
Gen Z Millennial Gen X Boomer Silent
Generation
1
Insider Intelligence 2023
2
Influencer Marketing Hub 2023
2022 2023
3
Tech Crunch 2023
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NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 18

40% Social purchases by demographic do not vary as

of social commerce purchases are
made in the Beauty and Personal
Care Category
much as expected, there is only one category
anomaly among the youngest generation and the
rest:
Top 3 Social Category Purchases
by Demographic

One thing social commerce does well, is aligning

product offerings with interests, preferences, and Millennials,
lifestyles of its target market. Meaning, the categories Gen Z Gen X, Boomers,
that do well on social, are ones that continue to add and Silent
value to users, particularly those who have chosen
female as their gender, as they make up 54% of all
social use.3 It comes as no surprise that the top
Beauty & Beauty &
social category purchases are those that resonate Personal Care Personal Care
with female shoppers:

Categories Purchased on Social

Clothing, Shoes & Clothing, Shoes &
Jewelry Jewelry
Beauty & 39% 40%
Personal Care
Clothing,
Shoes & Jewelry 42% 39%
Cell Phones & Home &
Home & Accessories Kitchen
Kitchen 28% 27%

Cell Phones &

Accessories 26% 24%

Grocery &
Gourmet Food 16% 21%

Electronics 21% 20%

Pet Supplies 15% 18%

Sports &
Outdoors 19% 16%

Movies & 14% 13%

TV shows

Books 13% 12%

Baby 14% 11%

Games 8% 10%

Automotive Parts &

Accessories 9% 9%

2022 2023

Maximize your Amazon advertising ROI with our managed

services. Get in touch with us at feedvisor.com/connect

© F E E DV I S O R
NOTABLE SHIFTS IN CONSUMER PURCHASING BEHAVIOR 19

However, the influence of social media influencers, As social commerce evolves, these dynamics are
once a driving force behind social commerce, seems reshaping the landscape, prompting businesses
to be waning. Only 31% of consumers reported making to adapt and rethink their strategies in this ever-
a purchase after seeing products promoted by changing environment.
influencers. The same is true of Amazon influencers,
with 31% of consumers making a purchase this year Top Influencer Category Purchases
versus 37% making a purchase last year.
Beauty &
Despite these shifts, certain platforms and categories Personal Care 60%
continue to hold sway in the influencer realm.
Clothing, Shoes
& Jewelry 44%
The Dominant Influencer Platforms
Home & Kitchen 32%
Cell Phones &
80% Accessories 27%
Grocery &
Gourmet Food 27%
60%
Pet Supplies 19%

55% Electronics 19%

Baby 16%
Among the categories, Beauty & Personal Care
Movies & TV 15%
maintains its popularity, with 60% of consumers shows
making purchases after watching an influencer,
Sports &
followed by Clothing, Shoes & Jewelry at 44%, and Outdoors 14%
Home & Kitchen at 32%.
Books 12%

Games 11%
Automotive Parts &
Accessories 8%

© F E E DV I S O R
 20

Grabbing Consumer’s
Attention: What Ads
Resonate?

© F E E DV I S O R
 21

Grabbing Consumer’s Attention:

What Ads Resonate?
Interactive Ads Attract Our survey revealed consumers tend to engage
with videos (69%) the most, with audio (61%) and
Consumers Sponsored Brands (55%) coming in second and
third, as indicated by the chart below.

Interactive content sees 52.6% more Most Engaging Ads

engagement than static content.1
69% Video

Interactive content continues to be the most

effective advertising content, as its ability to capture 61% Audio
attention and foster active engagement with brands
surpasses static content. In fact, consumers are
increasingly drawn to TV and streaming ads, with
55% Sponsored Brands

40% acknowledging their impact on TV and 27%

on streaming platforms, both showing slight gains 54% Display
from previous years. However, despite heightened
visibility, our survey revealed that 49% of consumers
resist prompts to visit marketplaces for purchasing. 53% Sponsored Product & Livestreaming

Because of this, advertisers are now integrating

attention-based metrics such as video completes 52% Social Ads
and in-view time to measure ads’ effectiveness.2
These metrics act as a more profound performance
indicator than viewability only because they assess 48% Retargeting
whether a consumer saw an ad and whether it
grabbed their attention and resonated with them.
As a result, advertisers will be able to craft ads that
catch attention and prompt action in the hopes Gen X, and Millennial generations
that more of them will lead to purchases. that that identify as males, high-
earners, and parents are the
consumers most likely to engage
with video, livestreaming, and audio
ad types.

Currently, advertisements featuring sales and

discounts are commanding the most attention.
These sales-oriented ads have proven to be the
most impactful form of retail media advertising,
resonating with 51% of digital shoppers in the
MediaFly 2022
United States who actively pay attention to them.3
1

2
Insider Intelligence 2023
3
Insider Intelligence 2023
© F E E DV I S O R
GRABBING CONSUMER’S ATTENTION: WHAT ADS RESONATE? 22

Most Helpful Ads Are Now

Videos
Consumers shopping on e-commerce giants
Amazon and Walmart find video ads particularly
helpful, with 36% on Amazon and 30% on
Walmart expressing appreciation for this format.

Likewise, sponsored ads, especially product ads, are

evolving, as Amazon now offers off-site placement
on premium apps and websites like Pinterest,
BuzzFeed, and Hearst Newspapers. These new
opportunities offer advertisers access to high-
quality audiences with increased brand credibility,
as well as contextual relevance and enhanced ad
performance.

Walmart is also innovating by pushing into in-store

advertising to capitalize on its huge reach and chase
growth in higher-margin businesses.1 Consumers will
now see more ads in self-checkout lanes and TVs the
blue giant is promoting for sale. While in-store traffic
may have waned during the pandemic, it is up nearly
20% compared to pre-pandemic times, making in-
store advertising an intelligent move.2

1
Showing Time 2023
2
Influencer Marketing Hub 2023
© F E E DV I S O R
GRABBING CONSUMER’S ATTENTION: WHAT ADS RESONATE? 23

Ads in Search Are Less

Noticeable

53%
of consumers notice ads on the product
search results page, down slightly from
2022

Ads within search results are facing diminished

visibility as consumer habits and preferences evolve.
Likewise, outside of search, 47% of consumers
acknowledge noticing ads on product detail pages,
an 11% decrease from 2022. This may be attributed
to the constantly changing composition and content 56%
on product pages, as well as the fact that price has of consumers now scroll to the bottom
become the dominant decision factor. If the price is
of the search results page
not to their liking, consumers tend to quickly dismiss
the ad in favor of a more cost-effective option.

Given the significant rise in the cost of advertising,
with the average cost-per-click (CPC) reaching $0.91
on Amazon and $3.50 on Google and Microsoft
platforms, advertisers need to be highly selective
with their ad content and creative strategies.
An even more significant shift can be observed in
the behavior of consumers, as 56% now choose to
scroll to the bottom of search results, marking a 6%
decline from 2022 and continuing the downward
trend from 2021.

The modest decrease in engagement may be

These shifts in consumer behavior
and increasing advertising costs
underscore the necessity for
advertisers to adapt and refine
their strategies to remain relevant
and competitive in the ever-
evolving world of digital commerce.
attributed to a shift towards a more specific and
purpose-driven search behavior. Users are now
actively browsing with focused intent. The reduced
noticeability of ads could also be attributed to
the seamless integration of continual content
advancements and the introduction of various ad
types within the page’s organic flow, causing many
consumers to simply not see them.

© F E E DV I S O R
GRABBING CONSUMER’S ATTENTION: WHAT ADS RESONATE? 24

Anatomy of a High-Performing Product Detail Page

Consumers rank the most important factors when making a
purchasing decision on a product detail page.

Product Titles
27% Ratings
5 35%
3

Product Image
48%
2

Price
77%
1 Prime Eligibility
34%
4

In order to avoid the scroll and grab consumers’
attention, specific product details have proven
more effective, reinforcing the evolving dynamics of
online shopping in a cautious economy:
1 Price remains the number one feature
consumers look at when purchasing a product,
with 77% saying it is vital. This number has
jumped 23% since 2022 as more and more
consumers look for ways to save.
Image representation is the second most
2
common element consumers notice. This
is especially helpful as consumers look for
quality in cheaper- priced products. As more
shoppers continue to trade down, how a
product looks will continue to matter more
and more.
Ratings are becoming increasingly important
3
as shoppers look for the best value. They are
more willing to purchase an item with higher
reviews than one that just looks like what they
want.
Prime Eligibility ranks fourth as consumers
4
want to get the most out of what they already
pay for, in this case, a Prime subscription.
Retailers and brands using Buy With Prime
can benefit by prominently displaying this
badge.
Product Titles give shoppers their first
5
indication of what and how product can
fit into their lives. Moving up from 6% in
2022, this feature must quickly convey your
product’s benefits.
© F E E DV I S O R
 25

Unwrapping Holiday
Shopping Trends

© F E E DV I S O R
 26

Unwrapping Holiday Shopping Trends

2023 Saw the Biggest Prime
Day Ever Top Performing Prime Day Categories

38%
$12.7B
Beauty & Personal Care

in total sales this year - the largest in

Prime Day history 33% Clothing, Shoes, & Jewelry

29% Home & Kitchen

In the lead-up to Prime Day, retailers across the
board were grappling with the shadow of inflation,
fearing that it might cast a pall over consumer 24% Grocery & Gourmet Food
spending, especially as the latest inflation report
indicated a 3% increase from the year before.1 There
were concerns that rising prices and economic 23% Electronics
uncertainties might deter shoppers from opening
their wallets as freely as in previous years.

However, what unfolded was a testament to the
resilience of consumer enthusiasm. Despite the
economic headwinds, consumers came through
on a large scale, seizing the incredible deals and
discounts offered during Prime Day and setting a
new record with 375 million items sold over the 2-day
period.2
Beauty and Personal Care took the top spot with a
38% share of purchases, followed closely by Clothing,
Shoes, and Jewelry at 33%. Home & Kitchen made its
mark at 29%, while Grocery & Gourmet Food, rose to
24%, beating Electronics for the first time in several
years.

29% of consumers enthusiastically

participated in Prime Day, a slight
dip from 2022.

Despite a slight decline in participation from the

previous year, Prime Day saw a 6.1% growth in online
spending compared to 2022. With an average spend
of $54.05 per order,3 shoppers seized the opportunity
to snag incredible deals across various categories.

1
Bureau of Labor Statistics 2023
2
CNBC 2023
3
Numerator 2023
© F E E DV I S O R
UNWRAPPING HOLIDAY SHOPPING TRENDS 27

Grocery purchases rising above Electronics may be Irresistible Discounts and Deals Delight
attributed to the fact that a majority of consumers Consumers
saw Prime Day as an opportunity to replenish their
essential goods rather than splurge on luxury items.
Over half (66%) of consumers
This is supported by the slight upticks in purchases were extremely or very satisfied
within categories like Grocery & Gourmet Food and with the discounts offered.
Baby Products, along with a substantial surge in
the acquisition of Beauty & Personal Care products,
while Electronics showed a 3% decrease. Customers across the globe collectively saved more
than $2.5 billion on deals,1 and reported the highest
Prime Day Category Purchases satisfaction rates with discounts in Prime’s history.
Steep discounts in electronics (peaking at 14% off
Beauty & 33% 38%
listed price)2, apparel (12%), and toys (12%) enticed
Personal Care shoppers.
Clothing,
Shoes & Jewelry 36% 33%
Prime Day Discounts by Category
Home & 29% 29%
Kitchen
Grocery &
Gourmet Food
24% 24% Electronics 14%
Electronics 26% 23% Apparel 12%
Cell Phones &
Accessories 23% 21% Toys 12%
Pet Supplies 19% 19% Home & Furniture 9%
Baby 12% 13%
Computers 8%
Sports &
16% 12%
Outdoors Appliances 7%
Movies &
16% 10%
TV shows Sporting Goods 6%
Books 12% 9%
TVs 5%
Games 8% 8%
It is highly likely that more deals were taken
Automotive Parts &
Accessories 7% 6% advantage of this year because Amazon introduced
an “invite-only deal alert” program.3 Prime members
2022 2023 could request an invitation to score some of Prime
Day’s best deals that were expected to sell out ahead
of time, increasing the chances they would make a
purchase.

1
Amazon 2023
2
Adobe 2023
3
Amazon 2023
© F E E DV I S O R
UNWRAPPING HOLIDAY SHOPPING TRENDS 28

2023 Amazon Prime Day Deals Outshine Other Other Deals Consumers Shopped
Retailers During Prime Day
2022 2023
65% Unaware of Competing
59% 64%
of shoppers were unaware of other deals Promotions

besides Prime Day

Walmart+ Week 24% 22%

The month of July is typically a big sale month for

Target Circle Week 16% 14%
retailers, with many holding “Christmas in July”
Best Buy Black
events to compete with Amazon’s Prime Day. Like Friday in July 11% 13%
last year, retail giants like Walmart and Target all
capitalized on Prime Day’s popularity with Walmart+ Kohl’s Sale Days 9% 7%
Week and Target Circle Week, as well as Best Buy,
which hosted Black Friday in July. Home Depot Special
Buy of the Day sale 7% 7%
With a 9% increase in revenues from last year, Prime
Day once again outperformed other retailers with
more than half of consumers unaware of other Overall, Prime Day shoppers were loyal to Amazon
retailers’ deals. during Prime Day, and only 22% said they made
purchases in addition to Amazon at Walmart’s Deals
for Days event, down slightly year-over-year.

Of those who shopped during Prime Day, 87% were

members of Amazon Prime and 73% had been a
Prime member for at least one year.1 Shoppers
eagerly anticipated Prime Day, with 97% knowing it
was Prime Day prior to shopping because Amazon
advertised across its platform, social media, and
more.

1
Numerator 2023

Not happy with your Prime Day performance? We can help.

Get in touch with us at feedvisor.com/connect
© F E E DV I S O R
UNWRAPPING HOLIDAY SHOPPING TRENDS 29

Holiday Shopping Starting Earlier Than Ever How Much Consumers Plan to Spend Online
by Month

12%
of shoppers used Prime Day to kick off
their holiday shopping
September 16% 22% 44% 17%

The shift towards earlier holiday shopping is

becoming more evident each year as consumers October 17% 23% 48% 14%
seek more ways to save money while budgets tighten.
Inventory availability is not as much of an issue
this year, as more stores are dealing with excess November 12% 21% 55% 20%
inventory and offering more deals and discounts in
an effort to move product.
December 11% 19% 53% 29%
Nevertheless, 23% of consumers are now beginning
their holiday shopping in September, as opposed
to 11% last year. Consumers plan to spend the bulk
of their holiday budgets, between $100 - $500 in
November.

When Consumers Plan to Spend on

Holiday Purchases

27% 27%
24%
23%

September October November December

© F E E DV I S O R
UNWRAPPING HOLIDAY SHOPPING TRENDS 30

Holiday spending patterns show distinct motives, with consumers

planning their purchases around possible deal times:

September October November December

Back-to-School Sales: Amazon - Big Deal Days
Black Friday Remaining
Amazon, Target, Walmart, Target - Circle Week
Cyber Monday Holiday Deals
eBay, Best Buy Walmart - Holiday Kickoff

Clothing, Shoes &

Jewelry 46% 46% 49% 52%
Beauty &
Personal Care 31% 33% 35% 41%
Grocery &
Gourmet Food 27% 28% 31% 37%

Electronics 24% 22% 28% 34%

Home & Kitchen

21% 25% 28% 33%

There is a slight uptick in some planned purchases Beginning Holiday Shopping Times
during October, likely due to the anticipated second by Generation
Prime Day, Big Deal Days, occurring on the 10th and
11th. Amazon saw great success during its first-ever
second Prime Day in October 2022, which was September October November
dubbed “the herald of holiday shopping”.

With deals starting sooner, there are significant

implications for the overall holiday shopping
landscape. It has transformed the traditional peak Gen Z Gen X Silent
demand into a more extended bell curve, no longer Generation
confined to the Cyber 5 period. In fact, holiday sales
in 2022 saw a subpar increase of 5.3% for November
and December combined over the prior period.1
Millennial Boomer

1
National Retail Federation 2022

Looking to upgrade your full-funnel approach?

Get in touch with us at feedvisor.com/connect
© F E E DV I S O R
UNWRAPPING HOLIDAY SHOPPING TRENDS 31

Peak Demand Periods Holidays With Best Deals

Black Friday 38%

Prime Day 17%
Cyber Monday 14%
Pre-Prime Day 4%
Thanksgiving 4%
Back to School 3%
Prime Early Access Sale (PEAS) 3%

2022 2023
However, it is essential to note that this does not
necessarily indicate a negative outlook for this year’s
holiday shopping period. Instead, it underscores the
need for businesses to plan more meticulously. To
navigate this shift in shopping patterns, retailers and
brands must ensure that their sales and inventory
strategies can sustain the prolonged shopping
season. This means sales and promotional strategies
must adapt to accommodate the new consumer
behavior.
Presidents Day 3%
Small Business Saturday 1%
In particular, this year’s Cyber 5, or rather, the period
between Thanksgiving and Cyber Monday, is proving
to be the time when the majority of consumers will
make purchases, as 56% of consumers say these are
the best times for deals. Yet, it would be remiss to
not call out Prime Day’s popularity for “best deals”
is rising, with a significant 6% bump from last year.

When It Comes to the Best Deals, the Cyber Five
Period Remains Unbeatable
Despite holiday shopping starting earlier, consumers
still view the holidays as the best time to score
deals, with 52% of consumers saying they shop for
deals and discounts during Black Friday and Cyber
Monday and 72% of consumers saying they wait to
make a big purchase until one of these events.
Black Friday continues to dominate
as the most popular annual shopping
event across all age groups, as 38% of
consumers say the best deals are on
Black Friday, and 52% claim they
will make a purchase on Black
Friday. Cyber Monday is still just as
important with 29% of consumers also
planning to shop on this sales day.

© F E E DV I S O R
UNWRAPPING HOLIDAY SHOPPING TRENDS
Price Promotions, Coupons, and Deals Win This
Holiday Season
Two-thirds of retailers expect
consumers to be looking for
discounts during peak retail
season.1
As we approach the holiday season, consumer
spending patterns are being shaped by inflation, the
resumption of student loans, and stagnant incomes.
While inflation has witnessed a significant year-over-
year decline, 92% of consumers, especially middle-
income consumers, have pulled back on spending.2
To win shoppers this season, retailers need to get
creative with price promotions, coupons, and deals.
Nearly half, or 49%, of consumers have affirmed
that price promotions play a pivotal role in
influencing their holiday shopping purchases.
This influence is especially pronounced in specific
product categories, with Clothing, Shoes, and Jewelry
topping the list, followed by Electronics, and Beauty
& Personal Care. Even traditionally less discount-
driven categories like Grocery and Home & Kitchen
are showing heavy influence this year.
1
CNBC 2023
2
CNBC 2023
32
Categories Consumers Would Purchase With
Price Promotions
Clothing, Shoes
& Jewelry 45%
Electronics 38%
Beauty &
Personal Care 37%
Grocery &
Gourmet Foods 31%
Home &
Kitchen 29%
43%
of consumers say coupons and deals
determine what and where they buy
Walmart, Best Buy, Gap, Target, Bath & Body Works,
and numerous other retailers are ramping up their
promotional efforts, slashing prices on merchandise
as they seek to entice inflation-weary shoppers
into purchasing the surplus goods adorning their
shelves.3
Coupons and deals wield substantial influence over
holiday shopping behaviors, impacting the decisions
of 43% of consumers. Notably, these discounts are
most persuasive in specific product categories, with
Grocery & Gourmet Food leading the charge at 41%,
closely followed by Beauty & Personal Care at 38%.
Despite many consumers saying they would limit
their clothing purchases, Clothing, Shoes, and
Jewelry are swayed by deals, with 35% of consumers
influenced, while Home & Kitchen products trail at
25%.
Within this evolving retail landscape, the art
of presenting attractive discounts and crafting
compelling promotional offers, such as bundling
and free gifts with purchases, become indispensable
in capturing the attention of budget-conscious
shoppers. The key will be to not only entice them to
make a purchase but also to feel a sense of added
value and satisfaction.
© F E E DV I S O R
 33

Looking Ahead
In the ever-changing landscape of the economy,
retailers and brands must stay attuned to the factors
influencing consumer behavior and spending habits.
Over the next few months, we anticipate that these
five key features will continue to shape the way
consumers make purchasing decisions:
Inflation-Driven Purchasing: Inflation will
remain a driving force behind consumer spending
with price remaining the key decision making
factor.
Dominance of Smartphone Commerce:
E-commerce will continue to be dominated by
smartphone use driving new requirements and
approaches for marketers to capitalize on SMS
campaigns and more.
Instant Engagement and Personalization:
Consumers now seek instant engagement and
personalized experiences.
Video and Livestreaming Surge: Witnessing
an unprecedented rise in popularity, video and
livestreaming will be golden opportunities for
brands and merchants to reach new audiences,
foster engagement and encourage purchasing.
Generational Appeal, Especially Gen Z: Tailoring
offerings to different generations, notably Gen Z,
will be a priority.
Stay tuned for a deeper dive into these predictions
next month when we launch our Behavior Trends
Shaping E-Commerce for 2024 report.

Visual Platforms’ Influence: Consumer adoption

of visual platforms for research and purchase will
usher in the next wave of purchasing opportunities.

While the future of consumer behavior promises to be shaped by a dynamic interplay of evolving trends,
successfully navigating this future demands the same agility and adaptability that businesses have
shown in the past. The only significant change is a heightened need for
businesses to empathize with consumers facing financial challenges.
Embracing these shifts presents opportunities for innovation, growth,
and the development of enduring relationships with an even more diverse
range of shoppers.

Prepare for the holiday season by harnessing the power of the highest-performing
optimization platform and expert team. Try for free here: feedvisor.com/360
© F E E DV I S O R
 34

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